U.S. economy adds 146,000 jobs in November

The U.S. economy added 146,000 jobs in November and the unemployment rate fell to 7.7 percent, the lowest since December 2008. The government said Superstorm Sandy had only a minimal effect on the figures.

The Labor Department's report on Friday offered a mixed picture for the economy.

Hiring remained steady during the storm and in the face of looming tax increases. But the government said employers added 49,000 fewer jobs in October and September than initially estimated.

And the unemployment rate fell to a four-year low in November from 7.9 percent in October mostly because more people stopped looking for work and weren't counted as unemployed.

There were signs that the storm disrupted economic activity. Construction employment dropped 20,000. And weather prevented 369,000 people from getting to work — the most in almost two years. They were still counted as employed.

Stock futures jumped after the report. Dow Jones industrial average futures were down 20 points in the minutes before the report came out at 8:30 a.m., and just after were up 70 points.

As money moved into stocks, it moved out of safer bonds. The yield on the benchmark 10-year U.S. Treasury note, which moves opposite the price, rose to 1.63 percent from 1.58 percent just before the report.

Since July, the economy has added an average of 158,000 jobs a month. That's a modest pickup from 146,000 in the first six months of the year.

The increase suggests employers are not yet delaying hiring decisions because of the “fiscal cliff.” That's the combination of sharp tax increases and spending cuts that are set to take effect next year without a budget deal.

Retailers added 53,000 positions while temporary help companies added 18,000 and education and healthcare also gained 18,000.

Auto manufacturers added nearly 10,000 jobs.

Still, overall manufacturing jobs fell 7,000. That was pushed down by a loss of 12,000 jobs in food manufacturing that likely reflects the layoff of workers at Hostess.

Sandy forced restaurants, retailers and other businesses to close in late October and early November in 24 states, particularly in the Northeast.

The U.S. grew at a solid 2.7 percent annual rate in the July-September quarter. But many economists say growth is slowing to a 1.5 percent rate in the October-December quarter, largely because of the storm and threat of the fiscal cliff. That's not enough growth to lower the unemployment rate.

The storm held back consumer spending and income, which drive economic growth. Consumer spending declined in October and work interruptions caused by Sandy reduced wages and salaries that month by about $18 billion at an annual rate, the government said.

Still, many say economic growth could accelerate next year if the fiscal cliff is avoided. The economy is also expected to get a boost from efforts to rebuild in the Northeast after the storm.

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YouTube Makeover Offers Larger Videos

After months of experimenting with YouTube’s interface and serving limited trials to willing users, Google has launched a new look for the web’s biggest video-sharing site.

The new YouTube is reminiscent of Flickr’s redesign earlier this year — putting the content, in this case the videos, front and center. The new YouTube offers larger videos closer to the top of the page; the title is now below the video, just above the various sharing options.

The left of the page is home to YouTube’s new “Guide,” a list of all the YouTube channels you’re subscribed to, along with your history and video playlists. The YouTube Guide now comes with you across devices, offering up new videos and suggestions on everything from Android phones to Google TV.

The other notable change is that the page is no longer centered, it’s aligned to the left edge of the browser window. The result is a slightly less cluttered page with more emphasis on the video, though the dead space to the right looks a bit strange if you’ve got a large monitor.

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Jackson’s Hobbit: the journey begins

WELLINGTON (Reuters) – Film maker Peter Jackson wants to scare children with his latest movie – and perhaps even a few grown ups.

The first of the Hobbit movie trilogy – “The Hobbit: An Unexpected Journey” – is about to hit theatres, and Jackson says he’s tried to hold true to its roots as a children’s fantasy story, with scary bits.

“If they’re scared of the trolls great, if they’re scared of the goblins great, they know there are no goblins, they know there are no trolls, it’s a safe kind of danger,” he says.

The film, produced by MGM and Time Warner Inc, is the fourth in the Oscar-winning Jackson’s blockbuster “Lord of the Rings” film franchise, based on the books of author J.R.R. Tolkien.

It follows the journey of hobbit Bilbo Baggins, reluctantly pushed into travelling with 13 dwarves to steal treasure from a dragon and regain their homeland. During his travels, he comes by the ring that he later passes onto kinsman Frodo Baggins, which was at the core of the “Rings” trilogy.

Jackson says he’s worked to keep distance between the Hobbit, published in 1937, and the much darker Lord of the Rings, which came out nearly 20 years later.

“The Lord of the Rings has an apocalyptic sort of heavy themic end-of-the world quality to it, which the Hobbit doesn’t, which is one of the delights of it,” he said.

POMPOUS AND SMALL MINDED

The pointy eared, hairy footed hobbit Bilbo is played by British actor Martin Freeman, who says he’s tried to make Bilbo his own creation, a character audiences can root for despite his initial pomposity and small mindedness.

“You have to be able to follow him for the duration of the film, but I wanted him to be open and changeable and ready to be surprised,” Freeman said.

A key scene is an encounter in a cave between Bilbo and the creature Gollum, reprised in full computer generated splendor by Andy Serkis with the distinctive throaty whisper.

“It was a very rich experience,” he said, adding that playing Gollum again was “an absolute thrill”.

Such is the affection for the creature, who calls the magic ring “Precious”, that a 13 meter (42 feet) sculpture of Gollum hangs in the airport terminal at Wellington, which regards itself as the spiritual home of the Tolkien films and terms itself the “Middle of Middle Earth”.

Returning actors from the Rings trilogy, many of whom have only passing mention in the book, were no less enthusiastic. Ian McKellen returns for a leading role as the wispy-haired, grey bearded wizard, Gandalf, while Cate Blanchett is the elven queen Galadriel and Elijah Wood appears as Frodo Baggins.

“You couldn’t not come back, you had to come back,” says Hugo Weaving, the leader of the elves, Elrond.

HOBBIT – A FRAUGHT JOURNEY

The Hobbit film journey has not been without its setbacks.

Metro-Goldwyn-Mayer, owners of the film rights to the Tolkien books, had financial woes, prompting original director Guillermo del Toro to pull out and Jackson, already script writer and executive producer, to step in.

A major labor dispute prompted threats to move production out of New Zealand, and was solved by changing labor laws, while Jackson suffered a perforated ulcer and underwent surgery, delaying the film still further.

Though only two films were planned originally, Jackson has tapped Tolkien’s appendices to the Rings to make it into three.

Audiences are also getting more visual bangs for their buck, with the movies filmed in 3D and at 48 frames per second (fps), double the industry standard.

This delivers clearer pictures, but opinion is divided, with some critics calling it cartoon-like and jarring.

Jackson says he wants to drag the iPad generation back into theatres and the romance, excitement and mystery they offer.

“It’s more realistic, it’s more immersive. I almost feel a responsibility as a film maker to try to do my part at encouraging people to come to the movies, to watch the film in a cinema,” he said.

The second film “The Hobbit: The Desolation of Smaug” will be released in December next year, with the third “The Hobbit: There and Back Again” is due in mid-July 2014.

(Reporting by Gyles Beckford, editing by Elaine Lies)

Movies News Headlines – Yahoo! News

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America waits for Powerball jackpot winners to reveal themselves

Powerball officials confirmed that there are two winning tickets in the second-biggest lottery in history, sold in Arizona and Missouri.

Someone missing at work on Thursday? For many in Arizona and Missouri, that was just one more reason to speculate on who won the record Powerball lottery whose golden tickets were sold in those states.

And while America was waiting to learn who will share in the estimated $587.5-million jackpot, lottery officials prepared to hold news conferences Thursday to highlight the establishments where the winning tickets were sold. Everybody loves a winner, but in the lottery world, the sellers of winning tickets get to share the lucky spotlight.

On Wednesday night, officials drew the winning numbers -- 5, 16, 22, 23, 29, and 6 as the powerball. Two winning tickets will split the jackpot, the largest in Powerball history and the second-largest lottery prize in U.S. history.

QUIZ: Test your knowledge of Powerball

All that is known so far is that one of the winning tickets was sold in the Kansas City area and the other was in Arizona. The winners have 180 days to claim their prize.

Like many forms of gambling, the lottery runs on selling the dream of instant riches, mainly to people who most likely will never have a chance to earn any amount close to a major jackpot.

That the odds of winning are almost one in 176 million rarely serves as a damper on the frenzy, designed to up the drama and the eventual net proceeds that go to the states who are sponsors. (About $1 of each $2 ticket goes to fund the prizes, with the rest going to the states -- minus the administrative costs to run the lottery.)

The record Powerball lottery was no different. At its peak, tickets were selling at a rate of about 130,000 a minute -- the equivalent of a small city picking numerical combinations (or more likely allowing a machine to randomly choose them). That surge is partly responsible for driving up the jackpot to astronomical heights.

It was also fueled by the lack of a winner in earlier rounds. Wednesday’s jackpot had been increased by 16 consecutive failures to pick a winner, rolling over the pot.

One reason for a delay in winners coming forward may be their need to figure out a financial strategy. Winners can be paid over time, for the full $587.5 million, or all at once, for a cash value of $384.7 million.

There are also tax and investment issues that can require some expertise. For example, with the federal government weighing increased taxation on the rich as one way to solve the issues connected to the so-called fiscal cliff, some people may want to pull the income into this year instead of next.

And of course, if the winning ticket was bought by a group such as an office pool, it may take some time to round up the winners and figure out the next step.

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A Step Toward a Universal Cancer Blood Test

By Jocelyn Kaiser, ScienceNOW

People usually find out that they have cancer after developing symptoms or through a screening test such as a mammogram—signs that may appear only after the cancer has grown or spread so much that it can’t be cured. But what if you could find out from a simple, highly accurate blood test that you had an incipient tumor? By sequencing the abnormal DNA that a tumor releases into a person’s bloodstream, researchers are now one step closer to a universal cancer test. Although the technique is now only sensitive enough to detect advanced cancers, that may be a matter of money: As sequencing costs decrease, the developers of the method say, the test could eventually pick up early tumors as well.

The new work is part of a wave of research on using either cells shed into the blood by tumors or free-floating tumor DNA in blood to track the growth and spread of tumors and tailor treatments. The free tumor DNA tests generally rely on looking for known alterations in cancer genes to distinguish cancerous DNA from normal DNA. Seeking a way to detect tumor DNA without knowing its genetic makeup beforehand, postdoctoral researcher Rebecca Leary and others in the labs of Victor Velculescu and Luis Diaz at the Johns Hopkins University School of Medicine in Baltimore, Maryland, and collaborators at other institutions took advantage of an observation they and others have made: No matter the type of cancer, tumor cells almost invariably have substantially altered chromosomes, such as swapped pieces and extra copies of certain genes. This suggests that a test that could detect any chromosomal abnormalities in a person’s blood could serve as a general test for cancer.

Now, the researchers have shown that their idea has promise. First, they isolated the free DNA in blood samples from 10 people with advanced colon or breast cancer. Then, using next-generation DNA sequencing methods, they read the entire genome of the DNA in the blood. (The approach was similar to a new test that can detect Down syndrome in a fetus from a pregnant woman’s blood sample by looking for just an extra copy of chromosome 21.) The cancer patients all had DNA with chromosomal alterations in their blood, whereas none of 10 healthy controls tested positive, according to the team’s report today in Science Translational Medicine.

“There are multiple uses of this approach,” Velculescu says. His group initially hopes to track whether a patient’s tumor is responding to treatment or regrows after surgery. The test could also be used to decide what drug a patient should get without biopsying her tumor—in some patients, the Hopkins team detected extra copies of two genes known to drive cancer, ERBB2 and CDK6, which can be targeted with existing drugs.

The test isn’t that cheap or quick at the moment: Each of the 10 patients’ tests in the study cost several thousand dollars just for sequencing and took a month, including the time for analysis. And early detection is still a ways off. The technique has to sift through large amounts of DNA from normal cells that is also floating in blood to find tumor-associated sequences; the portion of DNA in the cancer patients’ blood that came from tumors ranged from 47.9% to as low as 1.4%. The test might have to work on blood samples with less than 0.1% tumor DNA to detect small, curable tumors, the researchers suggest. But that is just a matter of doing more sequencing, Velculescu says. And as sequencing costs continue to drop, “in the very near future, this could end up being extremely cheap,” he adds.

“The approach has tremendous promise and, should the sequencing strategy become economical, it could have important applications in early cancer detection,” says Daniel Haber of Massachusetts General Hospital in Boston who works on using circulating tumor cells to detect and monitor cancer.

Carlos Caldas of the Cancer Research UK Cambridge Research Institute, who, like the Hopkins group, is working on sequencing free tumor DNA in blood, says the new study is the latest showing “that circulating tumor DNA is going to have a great future in all aspects of cancer management. … This is an exploding field.” He thinks such tests could reach the clinic within 5 to 10 years.

This story provided by ScienceNOW, the daily online news service of the journal Science.

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Russian court bans “extremist” Pussy Riot video

MOSCOW (Reuters) – A Russian court ruled on Thursday that video footage of the Pussy Riot punk group protesting against President Vladimir Putin in a church was “extremist” and should be removed from websites.

The demonstration last February offended many Russian Orthodox Christians. But Putin has been criticized by U.S. and European leaders over what they saw as disproportionate jail sentences imposed on three Pussy Riot members. Their trial was also seen by Putin’s critics as part of a clampdown on dissent.

The Moscow court said it had based its ruling on conclusions by a panel of experts who studied the video, showing band members in colorful mini-skirts and ski masks dancing in front of the altar of Moscow’s main Russian Orthodox cathedral.

Judge Marina Musimovich said the footage “has elements of extremism; in particular there are words and actions which humiliate various social groups based on their religion”. She said it also had calls for mutiny and “mass disorder”.

The verdict said that free distribution of the video could ignite racial and religious hatred.

The court’s ruling applies to other videos released by the band, including a performance in Moscow’s Red Square, where calls for mass disorder could be heard. Such calls were not made inside the church.

The websites are now likely to be included in a state register and could be blocked if the banned content is not removed.

The Russian communications regulator Roskomnadzor said that once the court decision takes effect it will monitor how it is implemented.

Three members of Pussy Riot convicted in August of hooliganism motivated by religious hatred for their “punk prayer”, which the Russian Orthodox Church has cast as part of a concerted attack on the church and the faithful.

The women said the protest, in which they burst into Christ the Saviour Cathedral and called on the Virgin Mary to rid Russia of Putin, was not motivated by hatred and was meant to mock the church leadership’s support for the longtime leader.

Band members Nadezhda Tolokonnikova and Maria Alyokhina are serving two-year jail sentences over the protest last February. A third member, Yekaterina Samutsevich, walked free last month when her sentence was suspended on appeal.

“To me this is a clear attribute of censorship – censorship of art and censorship of culture, of the protest culture which is very important for any country, let alone for Russia,” Samutsevich told reporters outside court.

“Now of course the fact that they will be blocking all Pussy Riot videos as I understand, all photos – this is horrible. Naturally, I will lodge an appeal and I will try to do it today,” she added.

Putin, a former KGB officer who has cultivated close ties with the Orthodox church over 13 years in power, has rebuffed Western criticism about the prison terms meted out.

(Additional reporting Valery Stepchenkov; Editing by Mark Heinrich)

Music News Headlines – Yahoo! News

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Cost of Brand-Name Prescription Medicines Soaring

The price of brand-name prescription medicines is rising far faster than the inflation rate, while the price of generic drugs has plummeted, creating the largest gap so far between the two, according to a report published Wednesday by the pharmacy benefits manager Express Scripts.

The report tracked an index of commonly used drugs and found that the price of brand-name medicines increased more than 13 percent from September 2011 to this September, which it said was more than six times the overall price inflation of consumer goods. Generic drug prices dipped by nearly 22 percent.

The drop in the price of generics “represents low-hanging fruit for the country to save money on health care,” said Dr. Steve Miller, the chief medical officer of Express Scripts, which manages the drug benefits for employers and insurers and also runs a mail-order pharmacy.

The report was based on a random sample of six million Express Scripts members with prescription drug coverage.

The Pharmaceutical Research and Manufacturers of America, the trade group representing brand-name manufacturers, criticized the report, saying it was skewed by a handful of high-priced specialty drugs that are used by a small number of patients and overlooked the crucial role of major drug makers.

“Without the development of new medicines by innovator companies, there would be neither the new treatments essential to progress against diseases nor generic copies,” Josephine Martin, executive vice president of the group, said in a statement.

The report cited the growth of specialty drugs, which treat diseases like cancer and multiple sclerosis, as a major reason for the increase in spending on branded drugs. Spending on specialty medicines increased nearly 23 percent during the first three quarters of 2012, compared with the same period in 2011. All but one of the new medicines approved in the third quarter of this year were specialty drugs, the report found, and many of them were approved to treat advanced cancers only when other drugs had failed.

Stephen W. Schondelmeyer, a professor of pharmaceutical economics at the University of Minnesota, said the potential benefits of many new drugs did not always match the lofty price tags. “Increasingly it’s going to be difficult for drug-benefit programs to make decisions about coverage and payment and which drugs to include,” said Mr. Schondelmeyer, who conducts a similar price report for AARP. He also helps manage the drug benefit program for the University of Minnesota.

“We’re going to be faced with the issue that any drug at any price will not be sustainable.”

Spending on traditional medicines — which treat common ailments like high cholesterol and blood pressure — actually declined by 0.6 percent during the period, the report found. That decline was mainly because of the patent expiration of several blockbuster drugs, like Lipitor and Plavix, which opened the market for generic competitors. But even as the entry of generic alternatives pushed down spending, drug companies continued to raise prices on their branded products, in part to squeeze as much revenue as possible out of an ever-shrinking portfolio, Dr. Miller said.

Drug makers are also being pushed by companies like Express Scripts and health insurers, which are increasingly looking for ways to cut costs, said C. Anthony Butler, a pharmaceuticals analyst at Barclays. “I think they’re pricing where they can but what they keep telling me is they’re under significant pressure” to keep prices low, he said.

Express Scripts earns higher profits from greater use of generic medicines than brand name drugs sold through their mail-order pharmacy, Mr. Butler said. “There’s no question that they would love for everybody to be on a generic,” he said.

Dr. Miller acknowledged that was true but said that ultimately, everyone wins. “When we save people money, that’s when we make money,” he said. “We don’t shy away from that.”

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Medicare Is Faulted in Electronic Medical Records Conversion

The conversion to electronic medical records — a critical piece of the Obama administration’s plan for health care reform — is “vulnerable” to fraud and abuse because of the failure of Medicare officials to develop appropriate safeguards, according to a sharply critical report to be issued Thursday by federal investigators.

Mike Spencer/Wilmington Star-News, via Associated Press

Celeste Stephens, a nurse, leads a session on electronic records at New Hanover Regional Medical Center in Wilmington, N.C.

Centers for Medicare and Medicaid Services

Marilyn Tavenner, acting administrator for Medicare.

The use of electronic medical records has been central to the aim of overhauling health care in America. Advocates contend that electronic records systems will improve patient care and lower costs through better coordination of medical services, and the Obama administration is spending billions of dollars to encourage doctors and hospitals to switch to electronic records to track patient care.

But the report says Medicare, which is charged with managing the incentive program that encourages the adoption of electronic records, has failed to put in place adequate safeguards to ensure that information being provided by hospitals and doctors about their electronic records systems is accurate. To qualify for the incentive payments, doctors and hospitals must demonstrate that the systems lead to better patient care, meeting a so-called meaningful use standard by, for example, checking for harmful drug interactions.

Medicare “faces obstacles” in overseeing the electronic records incentive program “that leave the program vulnerable to paying incentives to professionals and hospitals that do not fully meet the meaningful use requirements,” the investigators concluded. The report was prepared by the Office of Inspector General for the Department of Health and Human Services, which oversees Medicare.

The investigators contrasted the looser management of the incentive program with the agency’s pledge to more closely monitor Medicare payments of medical claims. Medicare officials have indicated that the agency intends to move away from a “pay and chase” model, in which it tried to get back any money it has paid in error, to one in which it focuses on trying to avoid making unjustified payments in the first place.

Late Wednesday, a Medicare spokesman said in a statement: “Protecting taxpayer dollars is our top priority and we have implemented aggressive procedures to hold providers accountable. Making a false claim is a serious offense with serious consequences and we believe the overwhelming majority of doctors and hospitals take seriously their responsibility to honestly report their performance.”

The government’s investment in electronic records was authorized under the broader stimulus package passed in 2009. Medicare expects to spend nearly $7 billion over five years as a way of inducing doctors and hospitals to adopt and use electronic records. So far, the report said, the agency has paid 74, 317 health professionals and 1,333 hospitals. By attesting that they meet the criteria established under the program, a doctor can receive as much as $44,000 for adopting electronic records, while a hospital could be paid as much as $2 million in the first year of its adoption. The inspector general’s report follows earlier concerns among regulators and others over whether doctors and hospitals are using electronic records inappropriately to charge more for services, as reported by The New York Times last September, and is likely to fuel the debate over the government’s efforts to promote electronic records. Critics say the push for electronic records may be resulting in higher Medicare spending with little in the way of improvement in patients’ health. Thursday’s report did not address patient care.

Even those within the industry say the speed with which systems are being developed and adopted by hospitals and doctors has led to a lack of clarity over how the records should be used and concerns about their overall accuracy.

“We’ve gone from the horse and buggy to the Model T, and we don’t know the rules of the road. Now we’ve had a big car pileup,” said Lynne Thomas Gordon, the chief executive of the American Health Information Management Association, a trade group in Chicago. The association, which contends more study is needed to determine whether hospitals and doctors actually are abusing electronic records to increase their payments, says it supports more clarity.

Although there is little disagreement over the potential benefits of electronic records in reducing duplicative tests and avoiding medical errors, critics increasingly argue that the federal government has not devoted enough time or resources to making certain the money it is investing is being well spent.

House Republicans echoed these concerns in early October in a letter to Kathleen Sebelius, secretary of health and human services. Citing the Times article, they called for suspending the incentive program until concerns about standardization had been resolved. “The top House policy makers on health care are concerned that H.H.S. is squandering taxpayer dollars by asking little of providers in return for incentive payments,” said a statement issued at the same time by the Republicans, who are likely to seize on the latest inspector general report as further evidence of lax oversight. Republicans have said they will continue to monitor the program.

In her letter in response, which has not been made public, Ms. Sebelius dismissed the idea of suspending the incentive program, arguing that it “would be profoundly unfair to the hospitals and eligible professionals that have invested billions of dollars and devoted countless hours of work to purchase and install systems and educate staff.” She said Medicare was trying to determine whether electronic records had been used in any fraudulent billing but she insisted that the current efforts to certify the systems and address the concerns raised by the Republicans and others were adequate.

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Norquist: GOP concern over tax pledge just 'impure thoughts'

Grover Norquist on Wednesday rebuffed claims that his anti-tax crusade is losing steam, calling statements from prominent Republicans hinting at their departure from his anti-tax pledge "impure thoughts."

Norquist, president of Americans for Tax Reform, met with Politico’s Mike Allen to offer his thoughts on the looming “fiscal cliff,” and the growing narrative that Republicans, after years of tying themselves to ATR’s pledge not to raise taxes, may be ready to jump ship.

Most recently, Rep. Tom Cole (R-Okla.) said in a private meeting with the House Republican whip team Tuesday morning that Republicans should take the opportunity to extend President George W. Bush’s tax cuts for 98% of Americans, calling it an “early Christmas present” for taxpayers.

And on Sunday, Sen. Lindsay Graham (R-S.C.) and Rep. Peter King (R-N.Y.) joined Sen. Saxby Chambliss (R-Ga.) in voicing concern over continued adherence to Norquist’s pledge.

House Speaker John A. Boehner (R-Ohio) responded to Cole on Wednesday, saying that though Cole is a friend and supporter, he disagrees entirely with his stance. “The goal here is to grow the economy and control spending. You’re not going to grow the economy if you raise tax rates on the top two rates,” Boehner said.

Though Norquist commented that Cole’s recommendation was “an interesting tactic,” he remained firm that his pledge remains viable, saying that anyone suggesting that opposing tax increases is no longer in vogue is “an idiot.”

The pledge, Norquist claimed, “takes weasel words out” of campaign promises to cut taxes, and provides voters a clear picture of a candidate's stance, a stance he said the Republican Party has built its brand upon.

Norquist said that signing the pledge is about informing voters and entrenching a preexisting policy stance, instead of an oath of fealty to ATR and its champion cause.

“They don’t need my permission to raise taxes,” he said, adding that such power lies in the hands of voters.

And he dismissed claims that the pledge’s powers extend beyond the promises tied to its concise wording.

“It doesn’t solve all of the world’s problems; it doesn’t design tax reform,” Norquist said.

But Norquist did design a general road map for Republicans to use in fiscal cliff negotiations.

“You need to have this conversation in public, you need to be online so you can have the moral higher ground,” he said, recommending that the GOP aim for a temporary extension of Bush’s tax cuts, with comprehensive tax reform to follow soon after.

“If the Republicans lose in such a way that they have their fingerprints on the murder weapon, then you have a problem,” he said, adding that public debate over the fiscal cliff would allow Republicans a chance to turn the tide against President Obama and the Democrats, so long as they maintain “credible clarity” in espousing their low-tax vision.

Norquist said he worries about conceding any ground to Democrats on tax increases.

“What the Democrats do is trickle-down taxation,” he said. “They tax the rich and then they screw everybody.”

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Beyond Iron Dome: Israel Preps New Anti-Missiles, Eyes Lasers

Israel just proved that its new Iron Dome system can repel Hamas’ short-range rockets and missiles. The bad news: Those weapons are nothing compared to the more advanced missiles that Hezbollah and Iran can throw at Israel, which would surely overwhelm Iron Dome. That’s why Israel, and America, are already looking into the missile defense systems that come after Iron Dome — including ones that rely on lasers.

The Israelis can justly say their system worked better than American and Israeli skeptics (and Hamas) anticipated. Five Iron Dome batteries destroyed some 421 Qassam rockets and Iranian-made Fajr-5 missiles launched from Gaza, for an interception rate of between 80 and 90 percent. (Hamas fired over 1,500 projectiles, but Iron Dome ignores those that don’t impact populated areas.) It kept Israeli casualties far below Palestinian ones and might have convinced Prime Minister Benjamin Netanyahu he didn’t need to re-invade Gaza. All this for a cost of under $30 million per interception.

All this has Israel pumping its fist. Uzi Rubin, a former Israeli missile defense official, boasted that Iron Dome outperformed the U.S.’ Patriot missile and showcased “Jewish genius with blue and white [i.e., Israeli] technology.” (Iron Dome was jointly developed with the U.S., but whatever.) And already Rafael, the company behind Iron Dome, is pledging to up its success rate to 95 percent in the next several months as it and the Israel Defense Forces sift through the launch data.

The thing is, Hamas is peanuts. Its Qassams and Fajr-5s are unguided systems, unsophisticated compared to the missile arsenals of Hezbollah and Iran, which include ballistic missiles. Even a souped-up Iron Dome would probably be overwhelmed by those. So as encouraged as Israel is by Iron Dome’s success, it’s already scaling upward, to more powerful interceptor-based missile defenses intended to blunt a layered assault from Hamas to Hezbollah to Iran. Some, however, doubt that a bullet is the right instrument for stopping another bullet, and would prefer to use the laser weapons the U.S. is developing.

Just days after Wednesday’s ceasefire with Hamas, it prominently tested Iron Dome’s big brother, called David’s Sling (and sometimes “Magic Wand”). Whereas Iron Dome’s stated maximum range is 45 miles (and is probably shorter in reality), David’s Sling’s interceptors are designed to hit incoming missiles from up to 200 miles away. If it works as intended, David’s Sling should protect Israel against the longer-range missiles that Hezbollah possesses M600, Zelzal, other Fajr models; and perhaps even the Scud ballistic missiles Israel contends Hezbollah got from Iran or Syria.

David’s Sling and Iron Dome have another brother, the Arrow. The Arrow has been in development for years and was originally conceived of as a Scud-stopper. Like some American anti-ballistic missile systems, the Arrow family of defenses is designed to stop a ballistic missile upon re-entry into the Earth’s atmosphere — principally, Iran’s Shehab-3. Over the summer, Israel upgraded the hardware, software, sensor array, interceptors and “Green Pine” radar on the Arrow-2; and an Arrow-3 is on the horizon that can reach twice its predecessor’s altitude. That’s likely intended to blunt the impact of Iran’s forthcoming the Iranian Sejjil-2 medium-range ballistic missile.

You can think of Iron Dome as the bantamweight, David’s Sling/Magic Wand as the middleweight and the Arrow as the heavyweight. And viewed together, you can see what Israel fears: a concerted barrage from Iran and its proxies that comprises everything from unguided Qassam rockets to Sejjil-3 ballistic missiles. That scenario brought U.S. Patriot missile batteries, Aegis ships and some 3,500 troops to Israel last month for the largest joint missile-defense exercises ever between the two allies, and you might hear more on the subject on Thursday, when outgoing Defense Minister Ehud Barak visits the Pentagon.

But some think hitting a bullet with another bullet is the wrong paradigm for missile defense. One Ha’aretz writer, Reuben Pedatzur, pines for Northrop Grumman’s Skyguard chemical laser, which would burn through projectiles after picking them up on radar. In the pre-Iron Dome days, residents of southern Israel once sued the Israeli government to bring Skyguard to their communities. And it’s worth noting that on Tuesday, rival Lockheed Martin claimed its own developmental laser system, the Area Defense Anti-Munitions, shot down four “small caliber” rockets from about a mile away in recent testing.

Except that laser-based missile defenses have been promised for decades and are never quite there yet. Rubin, the former Israeli missile defense official, blasted Skyguard in Ha’aretz on Tuesday as “simply unrealistic,” noting that the U.S. doesn’t even use it in Afghanistan, where its bases are frequently rocketed. And the U.S. Navy, which has sunk a lot of money into developing laser defenses for ships, still doesn’t consider its most mature solid-state lasers ready to burn through missiles this decade.

Still, David’s Sling and the upgraded Arrow have years to go before they’re ready, and their own trials by fire might not go as well as Iron Dome’s. Meanwhile, Hezbollah is pledging to launch “thousands of rockets” if Israel attacks, and the threat of a war with Iran hasn’t abated. If Hezbollah, or Iran, follow through on that threat, Iron Dome’s limits might become as visible as its successes just were.

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